Bharti Axa Life Insurance: A tangible promise

The ad is simple; the emotions speak their own story

The biggest headache of survivors after they've lost their loved one is the running around they have to do to get their hands on the life insurance funds.

I have heard sordid tales of people being made to dash from pillar to post for their claims. So, on top of the grief attached with losing a loved one, this becomes an additional trauma.

Bharti Axa Life Insurance has used this insight to promote its insurance package, with a promise that claims will be settled within 48 hours flat. That's a challenging promise. And full marks to them for not just using the correct insight for the communication, but also promising swift settlements.

So quite expectedly the TV commercial follows a straight line. No funnies or lateral thinking out here. A grieving widow arrives at an insurance company office to claim life insurance for her dead mister.

But the dudes are all busy chatting with each other. So the poor widow empties her handbag of her hubby's belongings. And offers it to them, saying that's all she has left of her man's memories. But what the insurance company has, the claim, they aren't giving her. And that she doesn't appreciate being made to run around for the funds. Next of course she finds herself at the Bharti Axa Life Insurance office.

Where she's promised a 48-hour settlement and offered a cup of tea as well. That it is a female officer this time round is a coincidence of course! (Not all of us men are heartless, people!)
VO: 'Bharti Axa Life Insurance - Jeevan Suraksha Ka Naya Nazariya'.

Well, nothing extraordinary about the commercial. Which in this case is actually a good thing. They have kept it simple, and have let the emotions talk their own story. It would have been tempting to jazz up things a bit, but it's correct that they didn't follow that path.

The treatment is done like a scene from an old Hindi movie tearjerker. Remember that heart-rending scene from 'Saransh', where the protagonist, the character played by Anupam Kher, is made to run from pillar to post to be able to claim the remains of his dead son's ashes. It's similar in nature. So it should evoke a lot of empathy from the target audiences.

Lesson: It's very important to base your communications on a strong consumer insight. Once that's done, the creative becomes child's play.

The only question left: Will Bharti Axa Life Insurance live up to its promise? Or, will we have to go from one cup of chai to another waiting for the dosh?



Raj Pradhan

6 years ago

The settlement promise is only applicable for unit-linked insurance plans (Ulips) and not for any other insurance plan including the term insurance. Second, the promise is to settle only the fund value of the plan and not the sum assured.
In case the sum assured is more than or additional to the fund value, then only the fund value will be settled and the differential amount will be release at a later date after detailed processing.
There is no time limit for settlement of this differential amount.
It’s important to note here is that the fund value is basically the premium which you have paid and which has been invested by the insurance company on your behalf increased by the returns which your fund has generated over the years.
Thus the insurance company is only returning back your investment amount and is paying nothing out of its pocket.


Madhusudan Thakkar

In Reply to Raj Pradhan 6 years ago

Which other life insurance company is settling fund value within 48 hours?.If claim is repudiated in some other company nothing is paid to nominee of policyholder.Whereas in Bharti Axa at least fund value is paid.What is wrong with this?. Why fund value should not be paid even in case of rejection of claim?IRDA should ensure that the same system is adopted by all companies.

Sudhir Tripathy

6 years ago

It is a highly insulting adv as the old lady is being said,- Will she come for a cup of tea?

Further Bharati Axa has hardly started their business a couple of years back. Whatever claims come will be mostly early claims. Is it possible to settle early claims within 48 hrs? Let us hope they continue this ad in coming 5 to 10 years.


Madhusudan Thakkar

In Reply to Sudhir Tripathy 6 years ago

What is so insulting? Life Insurance product is an intangible product and the ad breaks the clutter.The benefit of the product is depicted in a very innovative way.

IRDA slaps Rs5 lakh fine on Tata AIG Life

New Delhi: The Insurance Regulatory and Development Authority (IRDA) has imposed a fine of Rs5 lakh on Tata AIG Life Insurance for violation of regulatory guidelines, reports PTI.

The company has been directed to pay a penalty of Rs5 lakh within 10 days for violating IRDA directions. Tata AIG officials could not immediately be reached for comments.

According to the order passed by the IRDA, Tata AIG Life's Expenses of Management (EoM) crossed the prescribed limit in 2008-09, following which the regulator asked the insurance firm to ensure convergence with regulatory norms.

However, the EoM statement submitted by Tata AIG Life to the IRDA for the year 2009-10 indicated that the company did not follow the regulator's directive. “This is a violation of IRDA's direction...,” the order said.

It said that Tata AIG Life went on an expansion spree by opening branches in the year 2009-10, even though it had assured the regulator that it would restrict its expenses.

“Contrary to the directions of the authority and assurances provided by the company to the authority while requesting for approval to open new branches offices in the year 2009-10, Tata AIG Life has not complied with the limits on EoM,” it said.


SEBI probes insider-trading in shares of cos party to housing finance scam

Mumbai: Market watchdog Securities and Exchange Board of India (SEBI) has initiated a probe into possible front-running and insider trading in shares of over two dozen companies, including some blue chips, by entities and persons involved in the housing finance scam unearthed by Central Bureau of Investigation (CBI), reports PTI.

The initial findings, when corroborated with the charges made by the CBI, indicate towards a large-scale front-running deals or shares being purchased or sold in these companies on the basis of prior knowledge about investment decisions being made by large institutional investors, a senior SEBI official said.

These large institutional investors could be Life Insurance Corporation of India (LIC), whose secretary (investments) figures among those arrested by CBI in connection with the multi-crore scam, as also those investors who participated in share or debt placements arranged by investment banking and financial services firm Money Matters, sources said.

The probe would encompass large dealings and any irregular spurt in volumes or prices of shares of all the companies where these institutional investors had bought or sold shares over the past two years, they said.

The top officials of Money Matters, a fast growing entity that boasts of having served a number of top-level corporate entities in the past including the likes of Tatas, Ambanis and Birlas, have emerged as the focal points of the scam.

Sources said that though the arrested official of the country's largest insurer LIC could have been used (by Money Matters) in terms of revealing the investment decisions already taken by the PSU, he might not have been in a position to know upcoming decisions by the company or influence its investments in stocks.

As LIC is not a listed company and is not obliged to disclose its purchase or sale of shares on a day-to-day basis, the names of companies where it has invested or whose shares it has sold generally come to be known with a time-lag.

Besides front-running, the regulator is also looking into possibility of insider-trading by the top officials, and in some cases, promoters of the companies whose names have surfaced in the CBI probe.

Given the sensitivity of the matter and the probe being in preliminary stages, the official declined to disclose the names of the companies, while adding that the companies whose shares have been manipulated might not be themselves at fault.

The SEBI official said that the regulator had begun probing insider-trading possibilities in many of these companies, even before the arrests made by CBI two days ago, as it had feared irregularities in their share dealings over the past few months.

However, it was only after CBI unearthed the scam that SEBI could relate the alleged insider trading with the accused of loan bribery case.

CBI that earlier arrested at least eight persons in connection with the scam, has also issued notices to 21 companies to provide all the documents related to the case and explain any benefits received by them as also favours extended to the accused persons.

Sources said that SEBI suspected the unscrupulous activities to have begun in these companies' shares at least a year ago, when the stock market was still in dumps and the companies were finding it tough to raise funds due to extremely low valuations.

After shoring up the shares during the days of their distressed valuations, the accused entities could have started selling off these stocks to the unsuspecting investors at high valuations, they added.


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